UFI Applauds New ISO 10 Trends in Trade Terminology for the Show Exhibit Design Exhibition Industry for 2009 UFI, the Global Association of the Exhibition Industry, has been an active participant in the development of the newly released ISO which provide standardized terms and definitions that are commonly used in the exhibition industry. These ISO Standards are the result of four years of reflection by national and international exhibition industry associations from 17 nations. ISO Document 25639-1 document establishes terms and definitions that are commonly used in the exhibition industry. They are grouped into the following categories: * individual and entity, which lists and classifies the various types of people involved in the exhibition industry, * type of event, which defines the different types of exhibitions and their related meetings, and * physical item, which describes the various component sizes of the exhibition, the types of facility and print material. As a second part of this work program, ISO Document 25639-2 develops standard measurement procedures applicable to terms commonly used in the exhibition industry. As the leading global association of the exhibition industry, UFI has long required that its members provide audited figures for their “UFI Approved” exhibition events as part of the membership accreditation process. The acceptance of this ISO terminology, based in large part on the terminology long applied by UFI and its global membership, will assist the international exhibition community to provide transparent information to exhibitors and visitors alike. John Shaw, UFI President, said, “As the exhibition industry association gathering the leaders of the trade fair sector in 84 countries, UFI encourages the application of terms and definitions which contribute to a clear understanding and communication of the strengths and benefits of this strong marketing medium. We are encouraged to see that our efforts, and the efforts of our members, continue to be recognized as a benchmark for global exhibition quality.” UFI, the Global Association of the Exhibition Industry, promotes, serves and represents the trade fair industry worldwide. Via its member organizations, including the world’s leading show organizers and exhibition centers, national and international professional associations and industry partners, UFI is present in 84 countries on 6 continents. UFI members host and manage over 4,500 exhibitions and operate 192 venues around the world. As the global association for the leaders of the exhibition industry, UFI promotes the industry, provides information and training through professional education programs, and provides networking opportunities through seminar and conference meetings.
1. Most exhibitors take a 9m2 space, and almost all of these small-space exhibitors use a portable display. The crown prince of portable displays used to be the pop-up. No more. Lighter, faster banner stands have changed the expectations of how lightweight and easy to set up a portable display should be. Thanks to their improved graphics, exhibitors are more willing to use three banner stands to define their ten foot backwall display. Bonus: banner stands offer more flexibility; three can be used as a backwall and exhibitors can use each individual unit on its own. 2. For exhibitors who want a more impressive look than pop ups and banner stands provide, there are a growing number of extrusion and fabric systems. These systems offer eye-catching shapes and can integrate trendier materials. 3. Exhibitors now rely almost universally on the stopping power of mural graphics. There are fewer “rug on the wall” portable backwall displays on the trade show floor. 4. Graphics are updated at an ever-faster rate to match the accelerated speed of new product introductions and the shrinking of product life cycles. And with the greater use of vertical marketing, exhibitors change their graphics more often to target specific audiences with exacting messages. 5. In the era of YouTube there is a greater use of large screen video monitors, even in ten foot displays, to get attention and tell a story. 6. As marketing staff get squeezed to do more with less, even smaller-scale exhibitors are looking for more turnkey solutions for logistics such as online asset management, exhibit storage, and at-show set up and dismantle. 7. As drayage charges continue to increase by double digits year after year, and shipping charges become harder to justify, custom modular exhibits continue to gain ground. Custom modular exhibits have replaced traditional custom designs for virtually all inline exhibits, most small island exhibits, and an ever-growing number of large island exhibits. 8. Driven by faster product life cycles and branding revisions, and accelerated by economic uncertainty, there is a greater use of modular rental exhibits for exhibitor’s largest booth sizes. Flexible exhibit rentals help clients better manage their everchanging floor space and show changes. 9. In the search for more environmentally responsible exhibits there has been a greater recognition of the value of modular exhibits as compared to traditional custom exhibits. Custom
2 modular exhibits are, on average, approximately 60% lighter and thus require fewer materials to make, and require much fewer carbon emissions for transport. Plus, by nature of the components they are made of, custom modular exhibits are easier to separate into recyclable components at the end of their useful life. 10. The entire interaction at shows has evolved. Because buyers study your company on the internet before the show, they are further down the sales cycle when they arrive at your booth. Much of the emphasis has shifted from looking for new contacts at trade shows to hosting meetings with known contacts. As an example one of our clients recently built a 50 x 50 booth attendees couldn’t get into unless they already had an appointment. A meeting-focused exhibit tends to be more closed off and have more spaces for private discussions.
very hard using a dumb approach. Prescription: Slow down Step back periodically to reflect on whether your frenzied pace is really getting you where you want to go. Keep a time log or take a hard look back at your calendar. How are you using your time? Do you get dragged into minor activities that others could handle? Is multitasking and are constant interruptions fragmenting your attention and limiting your ability to concentrate on important tasks or projects? Start reversing that by turning off the notifications for every incoming e-mail’ get out of the office when you need to focus on important tasks to give yourself some breathing space and think time.
Consider these 10 exhibit design trends as you prepare for your next year’s show schedule. Perhaps you’ll see things differently as you consider your next display design.
Do You See What I See?
Moving out of a career rut
People with stunted growth often believe they are much more effective than others think they are. Their insecurity means they won’t seek critical feedback on their own performance or personal behaviour. Their “circle of delusion” is completed by being unapproachable with criticism or suggestions. This leads to a belief that they’re doing well because no one is telling them otherwise.
Brian’s head was starting to throb as he scrolled through the two dozen new voice and e-mails messages on his Blackberry while walking to his cubicle. Looks like another crazy day in the hamster cage he muttered to himself as he saw his phone message light blinking frantically. Brian, age 41, was growing increasingly frustrated. Despite working 50 hours and more per week (with an increasing amount of weekend work to “catch up”) it felt like his career wasn’t going anywhere. Work that once energized him now left him drained. Brian felt that unreasonable customers, managers, and co-workers were speeding up his hamster wheel just to watch him run faster. He had little time with his family and no time left to look after his health and fitness. Down the hall the Brian’s boss was meeting with the HR director to review staffing for new roles and projects emerging from the recent organizational restructuring. They really needed a professional with Brian’s technical skills to lead an important project team. “Brian’s strong technically, but he’s clearly not the person to lead this team,” his manager reflected. “His ability to set priorities, deal with people issues, and pull a team together are weak.” “I agree,” the HR director nodded. “He works hard but doesn’t use his time well. I’ve also heard he’s becoming more negative and cynical about all our organizational changes and new services.” Recognizing and Dealing with Stunted Career Growth For professionals “on the grow” middle age can be a time of career renewal. Others, like Brian, can find their careers stagnating. Here are a few symptoms of stunted growth and how they can be rectified. Time is not on your side Symptom: Working crazy hours Paradoxically, people who work harder, often get less done. As technology speeds up the flow of information and communications, less-effective people are swept away on a tidal wave of trivial urgencies and busyness. Failing to reflect and learn from their experiences before choosing their next course of action, they race around putting out multiple fires with little thought to fire prevention. They join the ranks of the industriously stupid. Like painting a building with a toothbrush, they’re working
Symptom: Ignorance is (short-term) bliss
Prescription: Unfiltered Feedback: The Breakfast of Champions You can get formal or more structured feedback through using surveys of your personal effectiveness that are completed anonymously by your co-workers, people you may be leading, those you report to (like your boss), and internal or external customers that you or your group serves. You should get an HR professional, professionally trained coach, or trusted mentor to help you interpret the results. It’s also a great idea to take the summarized results back to the people who completed the survey for further clarification and improvement or action ideas. Keep your lines of informal communication open by asking trusted co-workers for general input on your organizational or team effectiveness or for specific feedback on a project you’re leading or a problem you’re having trouble with. Cultivate a mentor or two at more senior levels (by organizational structure or experience) in your organization and get their input on what you should keep, stop, or start doing to be more effective. Technical Tunnel Vision Symptom: I, robot Many professionals are hired for their technical abilities, promoted for their management abilities and then derailed, passed over, or even fired for their lack of people skills. Technical professionals who move into management, lead key projects, or fill important support functions are usually given those additional responsibilities because of their strong intellect and exceptional problem solving abilities. But those stuck in a stunted technical growth trap fail to realize just how critical emotional intelligence skills are to influence, co-ordinate, lead teams and the like. Prescription: Strengthen Your Emotional Intelligence Emotional Intelligence research shows that up to two thirds of a
3 manager or professional’s success depends on their ability to understand and manage themselves and their own emotions, read the emotional tone of others, and build strong relationships. There are many excellent books, websites, feedback surveys, and training programs now available to help you develop your emotional intelligence. If you’re a technical professional, it’s especially important to broaden this critical career (and life) skill.
mechanisms, personal reflections, and expanding emotional intelligence, match your strengths and weaknesses to career opportunities that come along. Or with that self-knowledge, pursue or create the opportunities that play to your strengths and minimize your weaknesses.
A legend in your own mind?
Symptom: Take this job .....!
Symptom: The failure of success
There are few truly dead-end jobs. But there is lots of dead-end thinking. Many high growth people bent on building a career started with a low level job considered to have bleak prospects for growth. A common excuse of someone with stunted personal growth is that there aren’t any opportunities for them to grow. It’s very easy — and wildly popular — to play the victim and wait for someone else to open those career doors!
In managing investment portfolios, say, it’s all too easy to confuse brilliance with a bull market. When an organization is growing, many people’s roles and careers grow because they are in the right place at the right time. It’s all too easy to believe that their success reflects their skills and effectiveness. The longer this goes on, the greater the danger that skills will ossify: Why change and grow when what I’ve been doing has been working so well? But when the circumstances change or new challenges arise, that lack of personal growth and skill development can lead to a rude wakeup call and plummeting career satisfaction. Prescription: Self-assessment Periodically step back and look at your successes and failures. Which ones were due to lucky or unlucky circumstances? Did your successes come from alignment of the circumstances with your strengths? Do you know what your top five strengths are? What are you’re biggest weaknesses? Through feedback
You make it, you sleep in it!
Prescription: ..... and perfect it! Start by writing out a detailed job description of your ideal job. What would you be responsible for? What kinds of achievements would give a deep sense of satisfaction and achievement? Outline a typical day when you’re “in the flow” and time flies by. Now look around your organization. Does this job currently exist? If so, do a brutally frank inventory of what skills, experiences, and the accomplishments you need to get there? If not, do you have a reasonable chance of creating the job? Can you align your perfect job with a recognized need in your organization?
4 If you don’t think you can get or create your perfect job in your current organization, start looking outside for alternatives. Use a career coach, develop relationships with recruiters, get more education, training, or recognized designation your ideal field. Or start building a business plan to create the company built around your ideal job. In the velvet rut Symptom: Getting too comfortable Retired race car driver Mario Andretti once said: “If everything seems under control, you’re not going fast enough.” To excel and continue our personal growth involves constantly pushing ourselves beyond our own comfortable limits. If your days have become a predictable blur of standard activities, you may be settling dangerously deep into your comfort zone. Are you becoming more of a spectator and less of a participant at work? Prescription: Stretch your comfort zone Regularly do something that makes you squirm. That might be making a presentation, doing a financial analysis, becoming more technically suave, getting to know people at the opposite end of your personal style continuum or job expertise, getting out of your office and meeting with people throughout your organization, telling others about your accomplishments, or taking a “soft skills” training program. Use feedback or coaching to identify those areas where you most need to grow to build on your strengths and overcome weaknesses to move you toward your ideal job. At various ages and stages of our careers most of us have experienced periods of frustration, confusion, and alienation. Whether those times become ones of self-discovery, new directions, and fresh beginnings or staging points for a downward spiral in career satisfaction depends heavily upon our personal growth.
is this: “If I use ‘Respectfully,’ it will soften the blow.” But, of course, it doesn’t. 3. “Please be advised ...” - A lawyer-like phrase that is almost always unnecessary. Usually you are not so much giving “advice” as you are “telling’ or “informing.” No need to write: “Please be advised that the check is overdue.” Simply write: “The check is overdue.” 4. “Kindly” - “Please works better than this old fashioned word. 5. “I have forwarded...” “I am forwarding” - In e-mail, “forwarding” does have a specific meaning: the sending of materials from someone other than the writer to the reader. In other cases (such as “I am forwarding my business card to you,”) just use “send.” 6. “Above-captioned” (also: “above referenced,”) - Any of these phrases tells the reader to stop reading, roll his eyes back to the “RE line,” find the information, and then re-enter the letter to continue reading. Wouldn’t it be easier to just summarize the salient information in the letter itself? The trick in writing is to keep the reader reading with as few distractions as possible. 7. “Please do not hesitate to contact me.” - The prevalent “please do not hesitate” was a light, bright phrase when it was coined almost a half-century ago, but now, like most clichés, it pays a price for its popularity. So, innocuous as this phrase may sound, it does portray its writer as blandly impersonal. Use: “please call me,” polite without the cliché connection. 8. “Please note that...” - Here’s a phrase that may seem innocent but it has a rather stodgy tone (“Now, pay attention!”) I’d omit the phrase.
The 25 deadliest words and phrases in business
9. “Enclosed please find.” - This phrase, more than any other in the world of business writing, epitomizes the lawyer-like way people start to write when they are either desperate to avoid using a pronoun like “I” or simply love to repeat phrases they’ve seen in other litters without ever thinking for themselves. There’s nothing to “find.” Use “enclosed is...” or “I’ve enclosed.”
If you use phrases like “Please be advised,” “To Whom it May Concern,” or “pursuant to your request” in your businesses correspondences, you may be turning off customers and coworkers according to Gary Blake, Director of The Communication Workshop.
10. “Under separate cover” - When you write this, you are perpetuating a formalistic and old fashioned phrase. When I hear the word “cover,” I think of a big spaghetti pot and that reminds me to “boil down” the thought to read, “I am sending you it separately [or by FedEx, etc.]”
Blake said he often finds at least five to eight examples of stodgy, clichéd writing and “lawyerspeak” per page in every document submitted by employees who attend his business and technical writing seminars. “Do a few stodgy phrases ruin a letter? Is this such a big deal? Well, when you consider how many letters are being sent by companies today alone, you realize how important it is to make them clear, concise, and appropriate to a new millennium,” Blake added. Here is The Communication Workshop’s list of the 25 Deadliest Words and Phrases in Business and how to avoid them: 1. “Yours very truly” (also “Sincerely yours” and “Very truly yours” - You are not theirs. These closings are antiquated. I find myself using “Sincerely” almost all the time. 2. “Respectfully” - This closing has a solemn, almost hat-inhand aspect to it that I dislike. Perhaps what the writer is thinking
11. “Contact the undersigned (Send it to the undersigned)” News flash: you are the undersigned! It is perfectly fine to write, Send it to me.” People tend to distrust the perfectly fine words “me” and “you.” 12. “ASAP” (“As soon as possible”) - ASAP is the blandest, vaguest term in business writing. It does imply quickly, but just how quickly is a matter of interpretation. If you need a document within two weeks, write: “If possible, please send it me by [name a date two weeks from the date you on your document].” 13. “Finalize” - Every businessperson’s all-purpose hedge word. But what does it really mean? If you say you are going to “finalize” my contract next week, what are you saying you’ll do? Agree to it? Sign it? Complete writing it? Be specific: “I’ll sign your contract next week.” 14. “Dear Sir or Madam” - Not only does it sound as if you can’t make up your mind, but it ignores the fact that “Madam” is both archaic and, well, has a sexual connotation that doesn’t
5 relate to your message. If you are unable to find out the correctly spelled name and title of the person to whom you are writing, then settle for some generic rendering of the title: “Dear Benefits Manager,” “Dear Managing Attorney,” or “Dear Commissioner.” 15. “To Whom It May Concern” - Would you be eager to open a piece of correspondence addressed in this way? 16. “I trust that ... “ - Sometimes the writer can’t resist using this phrase, a phrase which gives off a tone of “I hope this answers all your damn questions and that you’ll leave me in peace!” Leave this smarmy phrase out! 17. “Thank you in advance for your cooperation. (Your cooperation is appreciated)” - Here’s a radical idea: Do not thank people for what they will do for you in the future. That’s presumptuous. Just thank them for what they’ve done in the past. If you are asking something that is no big deal, just say “please.” If, on the other hand, you are trying to motivate your reader to do something he or she doesn’t want to do, thank you won’t help. 18. VIN Number - Redundant. The “N” in VIN(Vehicle Identification Number” already stands for “N.” 19. “wherein,” “therein,” “herein” “The subject report” “hereby”- Lawyerspeak! 20. “Furnish” - Save this word for a discussion of “furniture.” Instead of “Please furnish these records,” write “Please send us these records.” 21. “Potential fire hazard” - Redundant. A fire hazard, by definition, implies its potential. 22. “Thusly” - Old fashioned, just like “thus.” Choose another transition that implies consequence, such as “therefore.” 23. “I want to extend an offer ... “ - This phrase, used in the context of a settlement, can be confusing. Don’t use it as a fancy way of saying “I want to make an offer” or “I am offering...” The word “extend” has the connotation that there is a present offer that is being left on the table (extended) for a while longer. 24. “In the amount of” - Use “for.” 25. “In regards to” - The phrase you want is “in regard to” (no “s”) or “regarding or “concerning.”
Toxic wives are the next dangerous asset class Toxic wives stand alone as an asset class, more ruinous to contemporary life than the global credit crunch and the worldwide recession. The US Treasury secretary, Hank Paulson, does not have a plan to deal with them, Gordon Brown, the UK prime minister, would rather hide under the table than confront the problem, while even the French leader Nicolas Sarkozy is reluctant to be drawn on the subject, despite owning a model that many consider inherently toxic. In the past few years, husbands have been encouraged to swap their old, non-performing assets for a new model. Toxic wives were touted as fresh and innovative. Obviously they were not
sold as toxic wives; they were called Lovely Second Models (LSMs). The risk of having an LSM was considered negligible, all the experts agreed. And because everybody was doing it, from Wall Street to the City of London, from Hong Kong to Shanghai, the risk was shared equally. In fact, there was no risk. This was a new paradigm. Ratings agencies rallied round to give LSMs the thumbs-up. “After a thorough analysis of the situation, we can see very little risk in allowing such an asset class into the house,” wrote Poor & Moody’s just a few months ago. The old wives were consigned to history, paid off with a house and an allowance, and the new gleaming second wives were substituted in their place. One of their attractions was that you did not have to be a George Clooney lookalike to deal in the market. A stutter? Say no more. Not much more than four feet tall? We can overlook that. Bald patch? We can brush that aside. Until very recently, the toxic wives had many performing assets and were a pleasure to behold. They dressed well in Prada or Dolce & Gabbana. They often appeared taller than they actually were, thanks to Christian Louboutin boots or their Jimmy Choos. The LSMs brought with their fine looks an appreciation of fine art. Before the husband knew what was happening, the Rembrandts and Matisse drawings on the walls had been replaced with rotting animal skulls and paintings full of dots. “What’s this?” they would ask. “Modern art,” came the reply. “Surely you are not too old to appreciate it?” However, while the assets of the LSMs were clear for all to see, some of the hidden costs of doing business were not immediately visible. Some gave birth to children, and these all needed to be educated at the best fee-paying schools. Then there was travel; commercial was regarded as too lower order. If the company jet was not available, the least that could be laid on was a Netjet flight. The problem is that as the markets turned sour in the summer, so did the LSMs. It is one thing to default on a bond, but another thing to keep an LSM from her seven-bedroom villa in St Tropez. To tell an LSM that rather than Jimmy Choos she might consider wearing Clark’s footwear would be like going into the market on Meltdown Monday and offering to buy shares: you would be trampled in the rush. As some of the people that could afford these assets in the first place became laid off, the toxic wives became non-performing. They still needed servicing, but the money was not there to provide for them. Toxic wives would argue that it is not their fault. Their part of the contract was to provide fragrance and height to the lives of their portly, short, balding husbands. Of course they have stopped performing now: what is the use of a credit card with no credit? Experts are mixed on who to blame for this situation. As out-ofwork husbands with angry toxic wives curse and fume, they ask why did nobody see this problem coming? These assets have turned toxic and we need to get rid of them. Why does not the government help? Some point the finger at the ratings agencies, who clearly gave out duff advice. Poor & Moody’s is refusing to say it is their fault, although it
Excite! is the new name for Exhibiting Show. Excite! offers inspiration, innovation and insight to everyone involved in exhibitions, experiential and events.
Excite! Community Building. Thought Provoking. Agenda Setting. www.exciteshow.com
6 does now say that it is “reviewing its rating policy”. Is there a chance that we could return to the old situation and bring back the ex-wives? Ask the husbands. But they have grown accustomed to sleeping alone and not being woken up by snoring in the middle of the night. They are enjoying their freedom, and the Rembrandts on the wall that were sent their way rather than being consigned to the dustbin. The answer is surely that these purchasers should never have been allowed to get their hands on such a class asset, but this is scant reward for those stuck with a toxic wife. The reluctant conclusion we can draw is that this was just another sorry episode that will need to be overcome. It will take a generation to recover, maybe longer. For some, it is the worst crisis since the Second World War, maybe worse, for then at least there was a chance of a building falling on their head or their former loved one taking a direct hit from a doodlebug.
3 Tips to Review 2008 and Plan for 2009 It’s almost 2009: time to wrap up the business of 2008 and decide on strategies for 2009. Let’s take stock and see how well you did. 3 Tips to Review 2008: 1. Crunch the numbers for the 2008 trade shows. Meet with the sales department for a year-end conference and strategy session. Get the sales figures from them before the meeting. You can’t evaluate your success without knowing what happened after you passed your leads along to them. Which shows were best in the following categories: Best return on investment?
For many, it is worse even than the Great Depression. They are stuck with something that does not cook, cannot drive and refuses to get a job.
Worst return on investment? Largest number of leads?
They must feel like Dutchmen did 371 years ago at the height of Tulipmania, contemplating the tulip bulbs they bought for 4,200 florins that suddenly became worth a fraction of that a few months later. But unlike the gloomy Dutchmen, they cannot even plant the toxic wives in the ground and hope they produce nice flowers in the spring.
Highest percentage of leads that led to sales? Highest visibility? 2. Give praise where praise is due. Especially in tough economic times, it’s easy to focus on worries
7 and failures, rather than successes and innovation. Yet employees need recognition for their efforts, especially when so many people are jittery about keeping their jobs. They will put forth their greatest efforts for someone who pays attention to their contributions. And you will need loyal, enthusiastic employees.
3. Examine the failures and learn from them. When Thomas Edison was working on the light bulb, he tried thousands of different designs. When a visitor commiserated with him over his enormous rate of failure, he replied, “These aren’t failures. I have learned thousands of things that don’t work.” List the things that don’t work, and try to figure out why. Was the message too complicated? Were you targeting the wrong market? Brainstorm with your team about ways to improve your outreach. Plan for 2009 Expect success. One of the real risks right now is of giving up. You can’t ride out rough times by hiding in a cellar until they blow over. By then nobody will remember your company. Now is the time to make clear, bold choices. Let your competitors discover that hibernating is a poor strategy. Yes, you will probably need to trim expenses. Everyone knows that the economy is going through a rough patch. Taking a proactive stance on unnecessary expenses is one step—but not the only or most important one—to making 2009 profitable. Use your budget wisely, and remember that trade shows are an investment in the future.
What should you pay out in salary increases for 2009? Six months ago, companies were poised to grow salaries aggressively, based on: a) rising demand for talent b) tightened supply of experienced and proven performers c) increasing revenues and profitability. Some industries and markets were under even more pressure to pay more than others. What should companies do now that the tide has turned, and: a) we’re in a recession b) cash is king c) unemployment is rising? The current reality is what it is. Companies are having to re-think their Opex and Capital spending budgets in the face of declining revenues and projections (near-term) for further reductions in demand for products and services. All items are on the table, which means that salary budgets, set out when conditions were different, six to twelve months ago, depending on your fiscal year and budget planning timeframes, should also be reviewed. But, this does not mean that these should automatically be cut. By way of illustration, following are a few myths and facts: Myth: With lay-offs in the news these days on a regular basis (e.g. Citi; Canwest; CTV; Chrysler), companies are not going to be giving salary increases to remaining employees in these and other firms. Fact: companies go through restructuring on a regular basis, as significant business events (end of product lifecycle; loss of key client; government legislation; need to re-direct capital and resources) impact revenues and profitability. During these times, most companies continue to provide salary increases to
remaining performing employees. Though there are more companies now going through restructuring; this does not change this fact. Myth: companies are only going to provide token salary increases during these recessionary times. Fact: companies set their own salary guidelines, based on a number of criteria, such as: Performance; Position in Salary Range (for that job); Time in Job; and alignment with the Company’s core values. There can be a significant variation between the low end of a salary increase (0%) and the high end, which even now could be, depending on the Company’s guidelines, anywhere from 10-15%. Employees who are fully meeting the expectations of the job, who have been in the job for 2 or more years, and who are being paid at the upper end of their salary range should expect a lower percentage increase. Employees who are fully meeting the expectations of the job, are newer in the role, and who are being paid at the lower end of the job’s salary range, can expect a higher percentage increase. Myth: companies can only afford to give salary increases to a small subset of employees during tough times. Fact: companies set out salary budgets (e.g. 3% of total base pay). This provides a large enough pool of capital for companies to provide increases to most performing employees. Companies then provide leaders with the ability to determine, based on the Company’s salary guidelines, how much to recommend on an individual employees. In most cases, a salary budget of 3% for example, is sufficient to allow for salary increases for greater than 90% of performing employees. Myth: companies believe they can “get away” with not paying any increases since, during tough economic times, employees are not likely to change employers. Fact: Great companies (which is almost the entire universe of employers), understand that talented and performing employees are a scarce and valuable resource, who are constantly working hard on behalf of the Company to contribute to success. These companies want to ensure that contributions continue to be recognized, and that employees are fairly compensated. These companies know too that employees do leave during good and tough economic times, if they feel that their contributions are not being recognized; the Company is no longer a good fit in terms of culture or career; and there is a better opportunity elsewhere. So...what should employers be looking to budget for in terms of Salary increase budgets for 2009? Poll your peers and potential competitors for talent from outside your industry and get a sense of what all are planning. This will help you to get a reality check on how your plans stack up. Note: This does not automatically mean that you will need to change your plans, since that should be driven by your compensation philosophy (e.g. Are you a market leader; a market follower; or do you intentionally pay below market).
Businesses find creative ways to trim travel costs Business travelers aren’t necessarily scaling back their travel but they are finding creative ways to cut costs in light of decreasing corporate travel budgets, according to the Orbitz for Business/Business Traveler Magazine Quarterly Trend Report. The report examined the key issues affecting the corporate travel industry, and offered insights into what business travellers can expect in 2009. Among the report’s key findings were that
8 71 percent of business travelers say they’ve traveled more or about the same in 2008 as they did a year ago. However, 79 percent said they’ve felt pressure to curb their travel expenses during the same period. Airline capacity cuts, many of which have been implemented in the latter half of 2008, had a significant impact on corporate travel behavior. Almost half (47 percent) of respondents said that they now book further in advance whenever possible. Forty-three percent said they’re now more price conscious, 17 percent said that their companies have taken measures to discourage lastminute bookings, and 11 percent said that they’re driving to their destination more frequently rather than fly. Another significant trend in 2008 was corporations tightening their travel policies as a means to control or curtail travel expenditures. For example, the report found that 34 percent of respondents employers would not allow seat upgrades as a business expense, in response to airlines that are now charging, or who plan to charge more for an aisle or window seat. “In 2008, our survey revealed an emerging trend of business travelers changing their behaviors in light of the recession, traveling differently by becoming more cost conscious,” said Dean Sivley, Senior Vice President and COO, Orbitz for Business. “We can expect corporate travel managers to exert continued pressure on employees with travel policies focused on cost savings, like booking flights farther in advance, staying in lower class hotels and renting fuel efficient vehicles.” Throughout 2008, the report showed that the majority of businesses were being more creative about their approach to travel in order to trim costs. Examples include travelers flying in and out of a business destination on the same day, and staying at less expensive hotels with lower star ratings. As well, companies were sending fewer employees to trade shows and conferences. When it comes to choosing a hotel, however, location still takes priority over price for the majority of respondents. Fifty-six percent of travellers said location was the most important criteria when selecting a hotel, followed by price (25 percent), and brand (15 percent).
Do’s and Don’ts for Producing the Perfect Opening Night Party Do hold your event on site at the convention center or hotel. Because attendees will be arriving at different times, you don’t want those who arrive later to skip the event because they don’t want to hassle with going off site. (And you won’t have to worry about transportation.) Don’t encourage unlimited drinking. Start opening night parties at 6 or 7 p.m. and end them at 9 or 10 p.m. You don’t want attendees to be hung over or tired on the first day of your event. A late event is appropriate for the closing night party. Do make sure you have enough time for set up. Include the exact time in your contract with the facility, and be sure to check and re-check on the availability. Don’t forget to allot time for your vendors to use the loading docks. If you’re going to be using props or other materials that need to be brought in, work with the convention services manager to make sure you’ll have enough time to load in. Do consider attendee demographics when planning entertainment. Interactive activities, like photo booths or graffiti walls, work particularly well for younger audiences. Roving musicians or smaller musical groups set up throughout the party work well with older audiences instead of one large stage with blaring music. Don’t scrimp on seating. Large rounds with seating for eight to 10 aren’t conducive to helping traffic flow. Lounge areas with couches and small vignettes set throughout the room are more popular. Plan for a minimum of seating for 25 percent of the audience with cocktail highboys for another 25 percent. Do take theme and décor ideas from the city in which your event is held. Attendees want to get a feel for the city, and you can generally save money because you won’t have to create new props that your vendors probably already have available.
In the fourth quarter of 2008, in the midst of continuing economic challenges, 51 percent of respondents said they had scaled back their travel but were still travelling, while 39 percent said they were keeping up the same pace. Only six percent said that their companies had implemented a travelling freeze, while four percent said they were actually travelling more.
Don’t create a room that’s a mirror image on both sides. To encourage movement, you don’t want to set up the same food and drink stations on either side of the room. The trend is toward smaller food stations with variety on either side of the room, but that can increase the costs.
Half of respondents said that their companies had tried videoconferencing in 2008 as an alternative to travelling, but the overwhelming majority (85 percent) said that they didn’t feel videoconferencing is or would be as productive as an in-person meeting. Only one percent said they thought it would be more productive.
Do use soft treatments and lighting to control costs. You’ll save time and money on set up, and you can still create an attractive environment. Using fabric columns and batterypowered lighting is an inexpensive way to dress the perimeter of the room. Large sets can be expensive to create and take more manpower to set up.
Only 14 percent of respondents said they have had to share a hotel room with colleagues while travelling on business, which is down from 24 percent in Orbitz’s 2007 survey.
Don’t make attendees feel left out. Make sure you have a way for late-arriving attendees to at least get temporary badges so they feel like they’re part of the crowd.
Looking ahead to 2009, 55 percent of business travellers said that they are planning to travel as much or more than they did in 2008. Seventy-six percent said they felt maintaining the frequency of travel was important to the overall productivity and success of their business, while a further 16 percent went even further to label it as “critical.”
Do stimulate the senses. Create anticipation at the entrance with lighting, fabrics, fog machines, still model mannequins, etc. Don’t leave sponsors out. Incorporate sponsors into your party planning. Food stations, for example, can offer local foods from the city where the sponsor’s headquarters are located.
9 time is of the essence. Do use your event theme when you create food and beverage options. You don’t have to use chafing dishes anymore. Set up an oyster bar in a rowboat with netting and barrels, for instance. CORPORATE GIFT GIVING Be it a token of appreciation to a valued client, a gesture of gratitude to an employee, or a “please keep us in mind next time” reminder for a current or potential customer, choosing an appropriate gift requires some thought and planning. These commonsense guidelines will help you select an item that will communicate the desired intent and even allow you to have a little fun in the process. • What kind of person are you choosing a gift for? Observe his or her habits, tastes, hobbies, etc., when considering what to buy. Also keep in mind your business relationship with the recipient and what message you wish to convey. • What is the recipient’s comfort level? Too inexpensive or too lavish a gift is inappropriate and may actually have the opposite effect of what you intend. • How can you make the gift personal but still professional? Personalizing an item by engraving, etching, stamping, etc., shows that extra thought, care and time went into the selection. • What is your budget? Set a budget for yourself early and think ahead. Especially for items ordered in bulk or ones that need to be personalized and individually packaged and shipped,
• Did you include an enclosure card for a personalized greeting? Never send a gift without one. Also, never send one that isn’t properly wrapped. • How will the gift be delivered or how will it be presented? Often stores specializing in corporate gifts can handle many of the packaging, gift-wrapping and shipping details for you at a minimal extra charge. It’s a good idea to have a few extra gifts on hand — ones that would be generally suitable for most people on your list — so you won’t be caught short at the last moment if you need to add someone to your list.
Selecting the Venue for a Golf Event • Location: Convenience counts, but what else do you need on site? Meeting rooms? A dining room? Will you need elaborate AV for an awards ceremony? What about tennis courts or a swimming pool for nongolfers? • Atmosphere: Know your group and what type of club will work best — casual, elegant or something in between? • Site inspection: You’ll need to conduct a site inspection just as you would for any off-site property. (Add the locker rooms to your checklist for appearance and cleanliness.) • Food: Decide if there will be a meal function and what type —
10 sit-down dinner or buffet lunch? Some clubs excel at elaborate meals, while others are better with box lunches. • Pro: Interview the golf pro and determine his/her level of experience with all types of tournaments, including competitive, fun, team-building, and skill contest. Can they hold a clinic for nongolfers? • Equipment: Ask if rental clubs are available for beginners or those who don’t travel with their own. • Course: Will you buy the entire course for the day or will it be shared by other groups or individuals? (You generally need about 125 players to buy out the course, unless you’re willing to pay extra.) Can you reserve the on-site practice facilities, too — driving range, putting greens, chipping green and practice bunkers? • Dress code: Understand any dress codes the club may have. • Transportation: Consider your transportation options. Is there a place to park buses? • Rain date: Get a guaranteed rain date and fully understand the facility’s rain cancellation policy. • Free services: What kinds of services come free at the club — scoring, tees, cart signs or assistance with tee sheets? Will there be greeting and/or orientation for your guests?
TOP HOTEL VIP PERKS Forget the fruit baskets — wow your VIPs with: • Complimentary in-room, high-speed wireless access • VIP check-in • Access to a VIP lounge or concierge floor • Limo transfers to and from airport • Room upgrades • Spa packages (complimentary access to facilities) • Customized amenities such as specific beverages, foods, reading materials, etc.) • Business center discounts • VIP line passes to restaurants, nightclubs and lounges • VIP seating for shows • Preferred seating at restaurants
Breaking the rules to keep your job The current global economic crisis is leading some people to go to some desperate measures in order to hold onto their jobs, according to a new survey conducted by IT security data expert Cyber-Ark Software. The survey, entitled “The Global Recession and its Effects on Work Ethics,” interviewed 600 office workers from countries like the U.S., UK and Holland. One of the findings noted that a third of respondents confirmed they would be willing to work 80 hours a week, with 25 percent saying they were prepared to take a salary cut, if it meant they could keep their jobs. However, workers’ efforts to keep their jobs can come at a cost to their employers. While 56 percent of workers surveyed admitted to being worried about losing their jobs, more than half of respondents said that they have already downloaded competitive corporate data and plan to use the information as a negotiating tool to secure their next post. In Holland, 71 percent of workers confessed to having already downloaded data, 58 percent in the U.S. and just 40 percent in the UK. When confronted with the prospect of being fired tomorrow, ethics go out the door. 71 percent of those surveyed declared they would definitely take company data with them to their next employer. Top of the list of desirable information is the customer and contact databases, with plans and proposals, product information and access/password codes all proving popular choices. HR records and legal documents were the least most favored data that employees were interested in taking. However, 46 percent of the global workers interviewed said they would try and obtain the “lay off” list. Half said theyd try using their access rights to snoop around the network and if this failed, theyd consider bribing a “mate” in the IT department to do it for them. “Employers have a right to expect loyalty from their workforce, however this works both ways and in these dark days everyone is jittery especially with layoffs at the top of most corporate agendas - the instinct is to look out for number one,” said Adam
11 Bosnian, vice-president of products, strategy and sales of Cyber-Ark. “It would be unthinkable to leave money on a desk, an obvious temptation to anyone passing, instead it is always safely locked away and its time that sensitive information is given the same consideration.”
though Blamestormers tend to lead their organizations on a vicious downward spiral of panic, falling morale, resignations, lack of focus on solutions and a lack of vision for the future because they are too focused on finding someone or something to blame for the past.
He added that companies need to ensure their survival and stolen data will eradicate any chance of that. “Our advice is to allow access to sensitive information to those that really need it, lock it away in a digital vault and encrypt the really sensitive data.
What organizations need now more than ever are not people who are looking to place blame, but for leaders who are prepared to step forward and take some responsibility. To take responsibility for how we got here, what needs to be done about it, what does the future look like, and how are we going to execute a plan to get there.
When it comes to this messaging, some companies appear to be listening. The survey revealed that workers globally believed its becoming harder to take sensitive information out of the company. 71 percent in the UK acknowledged it was difficult and 46 percent in Holland agreed. Yet in the U.S., the message still isnt getting through with only 38 percent of respondents admitting that they had found it difficult to sneak information away. Memory sticks were the smallest, easiest, cheapest and least traceable method of downloading huge amounts of data. Other methods were photocopying, e-mailing, CDs, online encrypted storage websites, smart phones, DVDs, cameras, SKYPE, iPods and seven percent of UK respondents said they memorized the sensitive data. “The damage that insiders can do should not be underestimated,” added Bosnian. “With a faltering economy resulting in increased jobs cuts, deferred promotions and additional stress, companies need to be especially vigilant about protecting their most sensitive data against nervous or disgruntled employees.’ When asked what other lengths they would go to in order to keep their jobs, the data wasnt just limited to the hours employees were willing to put in. For the U.S., 15 percent admitted theyd consider blackmailing the boss and 26 percent were prepared to buy the next round of drinks for a year. In the UK and Holland, three percent contemplated bribery, and only six percent in Holland and two percent in the UK were willing to buy the drinks.
The Art (or not) of Blamestorming When times get tough, when people get stressed, and when they are faced with a crisis, it is interesting to observe how many people seem to suddenly become skilled in the Art of Blamestorming. Loosely defined Blamestorming is a meeting of like-minded people who enjoy sitting around in meetings, deciding who or what they are going to blame for their current plight. How many good Blamestorming sessions have you had in your own organization recently? You probably know some people who are highly skilled at Blamestorming. Some people are so proficient that they do not even need an organized meeting in order to practice their art. They do it at the water cooler, in the elevator, on the phone and some are even skilled enough to record it on paper or send out by email. In our current economic climate it is not difficult to become a skilled Blamestormer as there are so many easy targets to pick from: Wall Street; The Government; Over Spending Home Owners; Greedy CEOs; Oil Prices and the like. Unfortunately
Good leadership is always about responsibility and never about blame. Of course there are always things that occur that are beyond your control and yes they can affect your current situation. Strong leaders though will instinctively know that sitting around discussing who is at fault will achieve very little. Instead they will ask themselves some of the following questions: * Did we really have a contingency plan in place for recessionary times? * Have we created a culture of innovative so that we can look at new ways to grow? * Have we created an agile organization that can adapt quickly to changing needs?
12 * Have we built a loyal engaged workforce who have faith in their leadership and will stay with us?
provide our valued customers…
In the days ahead, organizations that have developed strong leadership will be thinking about how to learn from the past, be innovative today, and provide inspiration for tomorrow so that they emerge stronger, leaner and well prepared when the upsurge occurs. They will not be wasting time with the Art of Blamestorming.
Your company has a personality. Does your Web site? Capture the essence of your organization in your copy. Use an authentic voice that connects with your readers. It can be persuasive, humorous, warm, reassuring, sassy, informed, explanatory….
Writing Web Copy That Works
5. Use an inverted-pyramid style
Perhaps you’re trying to write Web copy for the first time. Perhaps you’re not a writer, but you’re charged with developing content. Perhaps you’re an interactive pro who’s wrestling with difficult, disorganized content—and a committee of reviewers. Take a minute to review these 10 fundamentals of great copy. How does your Web writing stack up?
4. Find an authentic voice
Figure out what’s appropriate—and work hard at communicating it. Your readers will notice.
Put the most important information first, as in a newspaper article. Then progressively disclose detail. Use architecture and links for secondary depth. Remember, the Web is rarely suitable for sustained narrative. Your readers are skimming, skipping, darting. Catch them with multiple, shorter ideas. 6. Write in self-contained, clearly labeled blocks
1. Connect with readers immediately
Put important information in headlines, subheads and short bulleted or numbered lists. Then assume this is the only content your readers will read. Have they absorbed what’s essential?
Speak to their concerns. Answer their questions. Value their time.
7. Write so readers can scan
After you write a page, step back and ask yourself, “Do my readers care?” If the answer is “not really,” rewrite the headline to make them care. Or delete the content. Your readers are bright, impatient, ready to move on.
Write short paragraphs without sacrificing depth of content. (Aim for 30-50 words each.) Make every word count! Distill. Edit. Replace weak verbs and vague nouns. If you don’t really know what you’re trying to say, neither will your readers.
2. Use the tenets of good persuasive writing
Group your paragraphs into 200-400-word sections. Tip: Adjust your margins in Word so you can see precisely how long a section will be once it’s on a Web page. Too long? Edit or further chunk.
Trying to wrestle content into shape? Force yourself to follow these five tenets. (Remember freshman composition?) Yes, it takes work, but you’ll be surprised at the improvement in your copy. Capture attention. What’s the most compelling aspect of your message? Put it first. Hold interest. Reward your readers with meaningful, need-toknow information. Answer questions. Figure out the questions readers are asking. Answer them! Overcome objections. Be persuasive. Provide details. Reassure. You know the objections to whatever it is you’re promoting, selling, explaining. Don’t avoid addressing them. Compel action. What do you want your readers to do? Tell them. 3. Write in the first or second person You know this. But it never hurts to restate it. Speak directly to your readers, as in these examples: You have alumni. You have fundraising needs. How do you get results? What percent of legal research performed by outside counsel is redundant?
8. Apprehend suspicious sentences Take responsibility for each of your sentences. You know which ones are confusing. Strip out the adjectives, adverbs, prepositional phrases, and dependent clauses. Examine your remaining subject and verb. What, exactly, have you communicated? Our unique templatized reusable content provides an extensible methodology for communicating key marketing messages consistently and coherently. Stripped down, this means: Our content provides a methodology…. Don’t let this kind of writing anywhere near your site! Replace the vague with the concrete, the tangled with the straightforward. 9. Be consistent Consistency helps readers navigate. Repetition of key terms is fine. Don’t use unnecessary synonyms because you’re worried about repeating yourself. If, for instance, you’re discussing principles, don’t later call them rules. If you’re writing about cosmetic dentistry, don’t refer to it later as aesthetic dentistry. You risk confusing, irritating or stalling readers. 10. Finished? Read your copy aloud!
Why I donate blood
Become the voiceover for your copy. Read it with drama and flair. It should have natural, pleasing cadence.
What’s your opinion? Web site? Or website?
Did you trip over any words or sentences? If so, rewrite.
And, please, avoid that disembodied, disinterested, third-person voice:
Are you adding emphasis where none is indicated? Pay attention. You may have buried something important. Rethink the content you are emphasizing as you read aloud. Does it belong in a more prominent position, such as a sidebar, bulleted
At our company, it has always been our guiding philosophy to
13 list or subhead? Great interactive writing is easy to read, but often hard to write. Here’s a closing thought from a master of words, Winston Churchill: “Had I had longer, it would have been shorter.”
Trade Show Planning Choosing the Right Trade Show I love the Boy Scout’s motto: “Failing to plan is planning to fail.” The first step to successful trade show marketing is PLANNING. Before you sign up for a trade show booth, or start counting all the sales that you’ll get by exhibiting at a trade show, you need to develop an action plan - and the first step in your action plan should be to figure out if trade show marketing is even a good idea for your business. You’ve got to know everything there is to know about your product or service, and about your customer. What makes your product so special, who should by it, and why? Where do you find these people, and how do you convince them that your product is better than your competitors’ products. If you’ve got a good idea of why marketing at a trade show would work for you, you need to find a trade show that will work to market your product. There are literally thousands of trade shows a year throughout the world. You can more than likely find one in your niche. But then it important to find out how may people will be attending that show and what percentage of the attendees are potential prospects. Let’s say that you sell handheld carving knives specifically designed for carving cedar. You find a trade show in Denver about woodworking. So far, so good. They estimate 10,000 people will attend. That sound good too. But the show is about ALL aspects of woodworking, and from the information, you estimate only 10% of the people attending will be interested in carving wood by hand, and only 20% of those people are interested in carving cedar. That means only 2% (or 200) of the attendees would be potential prospects - or put another way, for every 100 people that walk by your booth, ninety eight of people will just be getting in the way of the two people who you are looking for. You should also realize that not all 10,000 attendees will walk around all of the exhibits - more than likely only a third of them will go by your booth, meaning 66 prospects instead of 200. But don’t let these numbers get you down - it just means you shouldn’t automatically pick the trade show with the most attendees - instead you want the show with the most prospects and if possible the highest percentage of prospects to attendees so that the non-prospects aren’t getting in your way. Unfortunately, the number crunching doesn’t stop after you’ve picked the “right” show. After you pick the show, you need to develop a budget for exhibiting at the show, and then determine if you can afford it and if it is cost effective. To budget for exhibiting at the show, you’ve got to include travel to and from, staying at a hotel, the cost of the booth space, the cost of booth accessories (carpeting, power, cleaning, etc), the cost of your trade show display and graphics, the cost of brochures and other handouts, the cost of trade show giveaways (if you want to use
them), and so forth. Once you come up with a rough total, you’ve got to determine if you can afford it. If you can, then you should estimate the business and/or sales you’ll generate from the show, and determine if you will make money. If you won’t, it’s time to look for another show or start wondering if trade show exhibiting is a good idea for your business.
Staying Up in a Down Economy: Eight MarketingStrategy Tips from Best Buy and Wipro CMOs Leading companies do not subscribe to the common misconception that marketing is a discretionary expense. They know that there is business opportunity during economic downturns, and marketing can lead the way: With smart marketing they stay on top and often capture more market share during a recession. To find out their secrets, I recently connected with two leading chief marketing officers—those of consumer electronics retailer Best Buy and global technology services giant Wipro. I asked what advice they have for consumer and business marketers when the economy is bleak. Regardless of industry or state of your marketing budget, the following tips from Barry Judge of Best Buy and Jessie Paul of Wipro can help you stay up in a down economy. Tips From Barry Judge, Chief Marketing Officer, Best Buy Tip 1: Seek out pockets of demand, and invest Take a closer look at the marketplace for areas where consumer demand remains relatively strong or where demand is emerging as a result of the weakening economy: First, identify and focus investment on your highest-value customers. These customers are your most identifiable and reliable source of revenue and profit across your business; and because they are enthusiasts for your products or services, they will be most likely to continue spending in your categories during a down economy. At Best Buy, we can identify them through our database and loyalty programs, so we can target offers, communication, and investment directly to them. Second, target product segments based on “need” where your value propositions are strong enough to drive revenue growth and share gain. For example, in our industry, some products have become consumer necessities (e.g., cell phones, PCs) and therefore may be more resilient during times when consumers pull back their spending on more discretionary items. Direct efforts to drive greater share in these segments while cutting back in areas where demand has declined. Third, identify and invest in consumer segments or geographic regions that are likely to grow during a declining economy. For example, unemployed workers tend to startup small businesses during a recession and create demand for small business IT products and support. We can direct our efforts and our value propositions toward these segments or regions in order to capture that demand. Tip 2: “Sweat” your marketing assets Take a new look at existing marketing programs to find new ways to create leverage and customer preference.
14 This effort includes maximizing advertising ROI by intensively focusing on how each program effectively targets demand. It includes trimming programs that no longer make sense in an environment where advertising ROI is at a premium, cutting programs that target segments where demand has disappeared, increasing investment in areas where demand is relatively strong, or squeezing more out of fixed asset programs that have the capacity to work harder. Tip 3: Invest in the brand experience and the brand story Find ways to improve the brand experience and tell the story of how the brand is differentiated during a time when price becomes more important to many customers. For Best Buy, marketing investments in the brand experience have included initiatives like improvements to our Web site to support a better customer experience at the first touchpoint of the brand. We have also demonstrated our support of customers who have been disappointed by technology by offering $50 gift cards to all our customers who bought obsolete HD-DVDs. We are also continuing to refine our messaging (internal and external) to support our brand story so that we have a clear point of view on how Best Buy is a relevant and better choice for our customers. Tips From Jessie Paul, Chief Marketing Officer, Wipro In the IT services industry, a large portion of business is derived from new engagements with existing clients. Clients often consider providers as partners rather than vendors, and many relationships last decades. Tip 1: Highlight frugality to gain brand preference Create or highlight services that will have an immediate impact on either increasing revenue or reducing costs for customers. Create business models that spread the investment over the entire lifecycle: e.g., project fee vs. monthly retainer. Transform existing offerings to pay-per-use and multi-tenancy models. Clients should know of your own efforts to trim the flab— communicate any voluntary reduction in spend so that they know you are not gaining from their troubles. Tip 2: Reduce spend on long-term brand building Defer long-gestation corporate brand campaigns. Return most of this money to the CEO. Use the rest in tactical campaigns, media outreach, and search engine optimization directly linked to communicating your recession-friendly offerings to clients and qualified prospects. Tip 3: Be the voice of the customer In hard times, the primary focus should be to nurture and retain the clients and prospects you are ready to engage. Marketing is uniquely placed to communicate internally the new needs of customers and speed the creation of recession-friendly offerings and pricing models that address these needs. Tip 4: Develop and support customer communities Clients are keen now to learn how you can help them and find out how their peers are coping. Communities cost far less than sponsored events, can be managed virtually, and are of lasting value. Supplement the online networking with offline meetings. Big-bang user forums will suffer from low attendance due to travel restrictions and an understandable reluctance to be away from work during this crisis period. Substitute glamorous golfcentric conferences with small user groups of key clients at local venues, and a healthy calendar of peer webinars on relevant
topics. In fact, marketing teams can set up a direct communication channel with the marketing groups in the client organization to see whether there are ways in which they can pool resources to cut costs or generate revenue (e.g., cosponsored advertising). Tip 5: Prioritize sales support Focus on supporting activities closer to conversion, and on services that are more relevant in the current economic climate. Move from broadcasting (large events, third party email blasts, banner advertising) to narrowcasting (webinars, podcasts, whitepapers). Sharpen your strategy in 2009 with these tips and remember to keep smiling: The sun will eventually shine again.
Five innovations that will change our lives IBM has unveiled its third annual list of “Next Five in Five,” which are the company’s view on five innovations that will change how people work, live and play over the next five years. The Next Five in Five is based on market and societal trends expected to transform our lives, as well as emerging technologies from IBM’s Labs around the world that can make these innovations possible. First on the list is energy-saving solar technology being built into asphalt, paint and windows. In the next five years, IBM predicts that solar energy will be an affordable option for consumers and their neighbors. Until now, the materials and the process of producing solar cells to convert into solar energy have been too costly for widespread adoption. But now this is changing with the creation of “thin-film” solar cells, a new type of cost-efficient solar cell that can be 100 times thinner than silicon-wafer cells and produced at a lower cost. These new thin-film solar cells can be “printed” and arranged on a flexible backing, suitable for not only the tops, but also the sides of buildings, tinted windows, cell phones, notebook computers, cars and even clothing. Another innovation poised for growth is the ability to have a crystal ball for your health. Over the next five years, doctors will be able to provide people with a genetic map that tells them what health risks they are likely to face in their lifetime and the specific things that can be done to prevent them, based on a person’s specific DNA — all for less than $200. Doctors can use this information to recommend lifestyle changes and treatments. Pharmaceutical companies will also be able to engineer new, more effective medications that are targeted for individual patients. Genetic mapping will radically transform healthcare over the next five years and allow people to take better care of themselves. IBM also noted that people will be able to talk to the web and have it talk back. According to IBM, going to the web will change dramatically in the next five years. In the future, people will be able to surf the Internet, hands-free, by using their voice — therefore eliminating the need for visuals or keypads. New technology will change
15 how people create, build and interact with information and ecommerce websites — using speech instead of text.
research firm and is based on interviews with 150 senior executives from 1,000 large companies.
In the future, through the use of “VoiceSites,” people without access to a personal computer and Internet, or who are unable to read or write, will be able to take advantage of all the benefits and conveniences the web has to offer. And by the web becoming more accessible by using voice, it will become easier to use for everyone.
Executives were asked, “In your opinion, what is the best remedy for low morale?” Their responses:
Another innovation poised for growth is that everyone will have their own digital shopping assistants.
Monetary awards for exceptional performance — 13 percent
In the next five years, shoppers will increasingly rely on themselves - and the opinions of each other - to make purchasing decisions rather than wait for help from in-store sales associates. A combination of new technology and the next wave of mobile devices will give the in-store shopping experience a significant boost. Fitting rooms soon will be outfitted with digital shopping assistants - touch screen and voice activated kiosks that will allow people to choose clothing items and accessories to complement, or replace, what has already been selected. Once a selection is made, a sales associate is notified and will gather the items and bring them directly to you. You’ll also be able to snap photos of yourself in different combinations and email or SMS them to friends and family for their opinions. Shoppers can access product ratings and reviews from fellow consumers and will even be able to download money-saving coupons and instantly apply them to their purchases. Also, in the next five years, it will become much easier to remember what to buy at the grocery store, which errands need to be run, who you spoke with at a conference, where and when you agreed to meet a friend, or what product you saw advertised at the airport. That’s because such details of everyday life will be recorded, stored, analyzed and provided at the appropriate time and place by both portable and stationary smart appliances. To help make this possible, microphones and video cameras will record conversations and activities. The information collected will be automatically stored and analyzed on a personal computer. People can then be prompted to “remember” what discussions they had, for example, with their daughter or doctor by telephone. Based on such conversations, smart phones equipped with global-positioning technology might also remind them to pick up groceries or prescriptions if they pass a particular store at a particular time. It’s not hard to imagine that TVs, remote controls, or even coffee table tops, can one day be the familiar mediums through which we tap into our digitallystored information.
Lack of communication with staff the cause of low morale Frequent dialogue with employees may be the best way to raise their spirits, a new survey suggests. Nearly half (48 percent) of executives interviewed recently cited better communication as the best remedy for low morale. Not surprisingly, one-third (33 percent) of respondents said lack of open and honest communication with staff members tops the list of management missteps that can erode morale. The survey was developed by Accountemps, a specialized staffing service for temporary accounting, finance and bookkeeping professionals. It was conducted by an independent
Communication — 48 percent Recognition programs — 19 percent
Unexpected rewards (e.g., gift certificates or sporting event tickets) — 11 percent Team-building events or meetings — 5 percent Additional days off — 3 percent None of the above —1 percent Executives also were asked, “Which one of the following has the most negative impact on employee morale?” Their responses: Lack of open, honest communication — 33 percent Failure to recognize employee achievements —19 percent Micromanaging employees —17 percent Excessive workloads for extended periods —16 percent Fear of job loss —14 percent None of the above — 1 percent Regular communication with employees is always integral to an organizations success, but it becomes especially critical during periods of uncertainty. When people are concerned about job security and company performance, updates on corporate news are essential. By keeping employees informed, managers can address anxiety and ensure workers are focused on meeting business objectives. Here’s some advice for fostering better communication with staff: *Manage the grapevine. Dont ignore half-truths and unfounded speculation. Take control of the rumor mill to limit its potential to preoccupy employees. *Make accessibility a priority. Respond promptly to individuals requests for help and initiate conversations about how their work is going. Also keep in mind that many employees feel more comfortable discussing their concerns if approached individually. *Listen. Avoid interrupting employees during discussions or acting distracted when youre talking to your team. *Remember the value of in-person communication. Dont allow frequent e-mails to replace face time with employees. Periodic staff meetings and one-on-one conversations are still the preferred methods for sharing important or complex information. *Get employees involved. Ask staff members to brainstorm creative ways to solve everyday challenges. Having a say in the outcome of a project motivates employees to do their best work. *Share the vision. When assigning tasks, explain how they support larger business objectives.
16 GCC companies rethink 2009 salary increases GCC markets are not to be spared in the impact of the rapidly spreading economic gloom affecting world markets. According to a survey conducted by Hewitt Associates, a global human resources consulting and outsourcing company, GCC companies are also rethinking their approaches to compensation, hiring, and reward practices. Hewitt research forecasts a decrease in salary increases to 9% in 2009, a departure from the double-digit increases that employees in the region are so used to. Employees in the GCC received an average salary increase of 10% in 2008 according to the first GCC annual Salary Increase Survey (SIS) conducted in June to October 2008. Debabrat Mishra, Consulting Business Leader, Hewitt Middle East, commented: “The survey sheds light on how firms are adapting to the macro economic changes. We had firms which predicted a fantastic year ahead with double-digit salary increases a couple of months earlier coming back to us with a significant rethink of their compensation strategy.” Survey results indicates that this projection is subject to a further downward revision. Already, 38% of the participating companies are taking proactive measures to curb expenditures and this reflects in their reduction in projected salary increases from their responses given to Hewitt earlier in the period from June to August 2008. These organisations (a majority of whom are multinationals) plan to decrease their 2009 overall salary increase projections by 30% on an average. The rest of the surveyed companies have adopted a “wait and watch” approach. According to Debabrat, multinationals are likely to respond to the economic scenario with far greater caution than GCC companies. Multinationals will implement global cost and manpower reduction strategies with uniformity across markets whereas companies based in GCC will wait and watch before taking any measures in order to protect long-term business outcomes. “If GCC-based companies maintain a stance which takes into account long-term business results, it is likely to provide them with a sustainable competitive advantage. They’ll be far better prepared when the economy shows signs of recovery. It could also make them emerge as preferred employers in the long term.” High quality talent continues to be a scarce and valued resource in this region. According to survey results, two prevalent measures being adopted are hiring and retention. Companies are going in for strategic hiring in the coming year as a way to utilize the current scenario to selectively recruit some of the very best talent. In addition, companies also plan to allocate a higher part of their salary increase budgets to reward exceptional performance.
Andy Heath, Senior Consultant and Industries Lead at Hewitt Middle East said: “Organisations will need their top talent more than ever to tide them through the downturn. The best employer response to the economic scenario is always to retain top performers by suitably continuing to reward them and protect overall organisation performance.” The study also raises the possibility that some organisations will go for a hiring freeze and/or staff reductions. Additionally, organisations are also looking at a strict tracking of travel and training budgets. Survey results also indicate that 30% of the participating organisations have scheduled or intend to schedule more frequent employee communication initiatives within their organisations. Andy Heath added: “In the past few years, the hyper growth in the region had led to many organizations operating with a significant cushion in manpower numbers. The current scenario will make organizations reconsider these surplus manpower numbers and rationalize them to more established norms. Layoffs are therefore more likely to be triggered responses to surplus headcounts, rather than a sign of economic reversal. However, a reduction in employees needs to be treated with utmost caution especially in sectors like real estate and infrastructure which are manpower intensive. Organizations need to establish manning norms aligned to their business model before undertaking headcount reductions.” Note: The Hewitt Salary Increase Survey for 2008-09 was carried out in four GCC countries: United Arab Emirates, Kuwait, Qatar, and Bahrain. The survey focuses on overall changes in salary increases for the 2008 calendar year and projections for the 2009 calendar year. Information was collected from 59 organisations.
Quicky Corner: Launching new events What's the key to being able to spot an opening in a market for a new show? Market research is important, but market insight is even better. When you have strong relationships with the key associations and industry movers and shakers and thus have insight into the needs of the market, opportunities present themselves. You need to understand your market, be respected in the profession and develop solutions to fit what the constituents are seeking and the trends you see developing. What is most critical to the timing of launching a new show? Timing is important, but honing your niche is critical. If you can't be first or second in your market, that's when you've missed the window of opportunity. Launches fail because organizers didn't really understand the market or the issues driving the marketplace, and thus didn't have events that were well positioned.